The Fight for $15 movement, which has recently gained momentum and press, has brought attention to the fact that many low-wage workers are unable to obtain basic necessities, such as food, and medical access, with their paychecks alone. Despite working long hours, fast-food industry employees, home health aides, and even adjunct professors require government assistance programs, such as the Supplemental Nutrition Assistance Program (SNAP), Medicaid, and Temporary Assistance for Needy Families (TANF) to meet basic their needs.
Through tax dollars, the general public has provides the largest subsidies for employers of low wage workers. Although the economy has recently improved, the problem of stagnant wages combined with a decline in employer-based health insurance is creating a problem not only for hardworking families who struggle to make ends meet, but also for society. Since the current federal minimum wage, $7.25 an hour, is not enough to cover essential living costs such as shelter, food, and medical care, low-wage workers must rely on public assistance to survive. Tax payers’ dollars, which contribute to these programs, indirectly support businesses that outwardly refuse to pay a livable wage.
Recently, considerable emphasis has been placed on the ripple effects of low wages and the high percentage of working poor who need public assistance in order to access basic necessities. A study from the University of California Berkeley estimates that 52% of fast food workers, 48% of home health care workers, and 46% of child care workers receive public assistance. Data shows that state and federal governments are spending upwards of $150 billion a year on programs such as SNAP, Medicaid, TANF, and the Earned Income Tax Credit, programs that are intended to assist working families meet essential living costs.
A Restaurant Opportunities Center United report supports the UC Berkeley findings and reinforces the idea that low wages affect the greater population. By their estimation, working families who receive public assistance take home $9,434,067,497 from public benefits to subsidize living costs.
This issue has received growing attention through the 2012 born campaign Fight for $15, funded by the Service Employees International Union. Protests that took place on April 15, 2015 are being referred to as the largest mobilization of workers in the United States. Tens of thousands of protestors demanding better wages for fast food employees, health aides, and adjunct professors across the nation have closed a Southside Chicago McDonalds, marched through Boston, filled the streets of New York City, and protested inside of a San Francisco McDonalds.
To read more about the Fight for $15 and how public benefits subsidize low wages for big businesses check out the New York Times, and US news.